2018 (9) TMI 551 - HC - VAT and Sales Tax

Acceptance of Forms / certificates produced by the assessee, even after passing final assessment orders - Revision of assessment order - Section 84 of TNVAT Act - Held that - When the circular of the Commissioner of Commercial Taxes in Acts Cell-1/12975/2011, dated 28.02.2011, itself is in very clear terms that the Assessing Officers are empowered to accept the forms / certificates, even after passing final assessment orders and revise the assessments, the act of the respondent in passing the impugned notice could not be countenanced - The respondent is directed to accept the industrial input certificates filed by the petitioner on 27.04.2018 along with the petition under Section 84 of TNVAT Act and revise the assessment for the assessment year 2014-15, on merits and in accordance with law. Petition allowed - decided in favor of petitioner.

Summary

Issues:
Challenge to assessment order under TNVAT Act for the year 2014-15 based on certificates not accepted by the respondent.

Analysis:
The petitioner, a manufacturer of EB line materials, sought a Writ of Certiorarified Mandamus to challenge the assessment order for the year 2014-15 under the TNVAT Act. The petitioner claimed a concessional tax rate for sales to TNEB but faced a demand by the respondent due to missing certificates. The petitioner requested a revision of the assessment order under Section 84 of the TNVAT Act after obtaining the required certificates, which the respondent declined through an impugned notice. The petitioner argued that the circular of the Commissioner of Commercial Taxes empowered Assessing Officers to accept certificates even after final assessments, contrary to the respondent's position. The Court noted the clarity of the circular and quashed the impugned notice, directing the respondent to accept the certificates and revise the assessment within four weeks.

Judgment:
The High Court of Madras allowed the writ petition, quashing the impugned notice and directing the respondent to accept the industrial input certificates filed by the petitioner and revise the assessment for the year 2014-15 in accordance with the law. The Court emphasized the Assessing Officers' authority to accept certificates post-assessment, as outlined in the circular, and instructed the respondent to reevaluate the assessment within a specified timeframe. The judgment highlighted the importance of following procedural guidelines and providing a fair opportunity for the petitioner to present relevant documents before revising the assessment.